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June 29, 2004 |
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Welcome to the June edition of ACTion News.
This complimentary service is provided by
ACT Canada; "building an informed marketplace".
It is also available in the Resource Centre
of our web site. Please feel free to forward
this to your colleagues.
If you would prefer to receive this newsletter
in plain text please email your request to
andrea(AT)actcda.com.
This newsletter has been sponsored by ACT
Canada's 2004 Partner:
A Coinamatic Company
IN THIS ISSUE:
1. Editorial Comment
2. E-Payments Drive One-Quarter of Canada's
Economic Growth
3. Two U.S. Issuers to
Roll Out Contactless
Credit
4. ACI Worldwide Wins 2004
Banker Technology
Award for Smart Card Services
5. U.S. Tests Border Smart
Card
6. MasterCard, NameProtect
Unite To Close
Down Phishing Sites
7. 'Smart' Medicare Card
on the Way in Australia
8. Cosmos Bank Extends
Keycorp Smartcard
Implementation
9. Bay Area Rapid Transit
District (BART)
Adds Another Application
10. Labcal's Fingerprint
Readers Deployed
In 14 Hospitals All Over
Malaysia
11. TSA Taps Unisys to
Evaluate Advanced
Biometric Technologies
at 3 Airports
12. Additional Stories
Available In Members
Only Section
ACT CANADA WOULD LIKE TO THANK OUR NEW & RENEWING MEMBERS:
GENERAL:
EWA-Canada - new SME level member
UPCOMING ACT CANADA EVENTS:
GOVSEC 2004
July 28 & 29
Washington Convention Center,
Washington,
DC, USA
ACT Canada presents
Cardware 04
Sept. 23 & 24
OBA Conference Centre,
Toronto, ON, Canada
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1. EDITORIAL
Source: Catherine Johnston, President &
CEO, ACT Canada (06/29) |
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Bringing Stakeholders Together to Advance
Cards in Canada
Earlier this month
retailers, issuers,
acquirers,
government organizations
and the card industry
met to discuss the
future for smart
cards
in Canada. That dialogue
was overdue, but
now the lines of
communication are
open.
The summit was only
a first step in providing
stakeholders with
an opportunity to
influence
the future of this
market. Two initiatives
were announced at
the summit, the formation
of the National Card
Advancement Committee
and a research report
that will be issued
this summer.
National Card Advancement
Committee
This committee will
provide an ongoing
forum
for communications
between the financial
sector, merchants,
governments and other
stakeholders. It
will also help stakeholders
understand the emerging
infrastructure; facilitating
relationships and
partnerships between
the
public and private
sectors and leading
to
the development of
an interoperable,
Internet
model infrastructure.
The committee will
conduct an environmental
scan in Canada and
abroad, develop an
assessment
of the commonalities
and differences and
identify the role
of ID in each application.
Future deliverables
will include the
identification
of potential areas
for movement in the
Canadian
market and the development
of business case
elements for public
and private sector
applications.
This work will help
lead us forward as
the
current applications
being planned for
both
open and closed systems
are joined by the
many more that will
emerge to take advantage
of infrastructure
as it continues to
be deployed.
"A leader is
someone who steps
back
from the entire system
and tries to build
a more collaborative,
more innovative system
that will work over
the long term"
said
Robert Reich. I invite
you to join with
other
leaders and participate
in the NCAC. Please
contact me at catherine(at)actcda.com
if
you would like to
be a part of this
interesting
and strategic committee.
Research Report
Over the next weeks,
the participants
of
the Smart Card Summit
will participate
in
a survey and interviews
to provide a baseline
report on business
plans and issues.
The
report will be available
to all participants
of the summit and
will be a working
document
for the NCAC.
These initiatives,
and Cardware 04 "Innovation
& Your Bottom
Line - Advanced Card
Applications
Consumers Will Reward"
our annual conference
(September 23/24,
2004 OBA Conference
Centre,
Toronto, Canada)
are designed to help
all
stakeholders advance
their plans. Please
visit our web site
and watch as we build
these and other programs.
Let me close with
a quote from Samuel
Johnson, English
critic,
biographer, essayist,
poet and lexicographer,
1709-1784. "The
future is purchased
by the present"
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2. E-PAYMENTS DRIVE ONE-QUARTER OF CANADA'S
ECONOMIC GROWTH, VISA SPONSORED STUDY SHOWS
Source: Canada Newswire (06/16) |
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'Electronic payments contributed $C 107 billion
to the Canadian economy since 1983, accounting
for nearly 25 percent of Canada's cumulative
economic growth according to a just released
study entitled, "The Benefits of Electronic
Payments in the Canadian Economy."
Commissioned by Visa
Canada and conducted
by leading economic
consulting firm Global
Insight Inc. the
research study quantifies
for the first time,
the impact of electronic
payments on the Canadian
economy.
University of Toronto
economist, Professor
Jack Carr advised
on the economic model
developed
and noted, "This
study makes it clear
that beyond convenience,
electronic payments
drive the economy
by enhancing transactional
efficiencies and
expanding payment
channels,"
said Professor Carr.
The study found a
strong link between
payment
system efficiencies
and economic growth.
Merchants and financial
institutions can
process and settle
transactions more
efficiently,
reliably, and securely
in an electronic
payment
system, thanks to
lower payment system
and
infrastructure costs
and greater economies
of scale. These efficiencies
can be as much
as one percent of
the value of goods
and
services produced.
"The study highlights
the importance
of both debit and
credit cards to transactions
in the Canadian economy,"
says Mark
Lauritano, Managing
Director of Global
Insight's
Financial Practice
Advisory Services
Group.
"Moreover, the
high adoption of
card
payments in Canada
provides a platform
for
the continued growth
of e-business, which
relies heavily on
electronic payments."
The research also
found that $C 60
billion
of growth in personal
spending by Canadians
over the past twenty
years is directly
attributable
to electronic payments.
Credit cards accounted
for more than 82
percent of this growth,
while debit cards
accounted for just
over
17 percent.
Electronic payments
enable international
travellers or online
shoppers to purchase
goods from Canadian
businesses. The study
shows that international
Visa cardholders
purchased $C 5.2
billion of merchandise
from
Canadian businesses
in 2003.
The electronic payment
system is vital to
promoting growth
in today's global,
digital
economy. This positive
economic impact can
best be sustained
by bringing innovative
new payment technologies
into the mainstream
marketplace including
payment cards with
chip technology,
secure wireless payment
technologies, and
alternative payment
devices
like mobile phones.
Interestingly substituting
cash and cheque
with electronic payments
has historically
proven difficult
in many countries,
even
in the developed
world. While card
adoption
and use varies dramatically
across countries,
Canada leads the
world in card adoption
and
utilization.
"Electronic
payments have taken
consumer
convenience to a
whole new level,
which demonstrates
the value that Canadians
place on choice
at the point of sale,"
stated Derek
Fry, President, Visa
Canada.
Visa Canada Association is a member of ACT
Canada; please visit their web site at http://www.visa.ca.
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GOVSEC - Government Security Expo & Conference
July 28 & 29 -
Washington Convention Center,
Washington,
DC
GOVSEC is only month away
- have you registered
yet? GOVSEC provides a
full spectrum of physical,
IT and cyber security solutions
for federal,
state and local governments.
Asa Hutchinson,
Under Secretary, Border
and Transportation
Security, U.S. Department
of Homeland Security
and David Kay, former Special
Advisor on
Iraqi Weapons of Mass Destruction
to the
Director of Central Intelligence
will join
more than seventy other
speakers presenting
at the conference. At the
Exposition, network
with peers and experience
first-hand and
compare the many products,
services and solutions
showcased by nearly 500
companies.
Register today for this one-of-a-kind event
facilitating new connections, information
sharing and effective coordination among
government security, law enforcement and
emergency management professionals. Visit
http://www.govsecinfo.com to register.
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3. TWO U.S. ISSUERS TO ROLL OUT CONTACTLESS
CREDIT
Source: CardTechnology Magazine (06/15) |
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Two credit card issuers in the United States
will together issue more than 1 million contactless
credit cards before the end of this year,
a source tells Card Technology. The cards
will run the "PayPass" contactless
credit application from MasterCard International.
The application sends payment data via radio
waves from the cards to specially equipped
point-of-sales terminals. MasterCard member
financial institutions, Chase, Citibank and
MBNA tested the application last year in
a large trial held in Florida. While the
source declined to name the two issuers that
will roll out PayPass this year, he says
they are among those issuers that tested
the service last year.
MasterCard is discussing
PayPass with all
three of those issuers
and others, says
Arthur
D. Kranzley, EVP
and chief e-business
officer
at MasterCard. But
he declines to estimate
how many PayPass
cards will be issued
this
year or which institutions
will introduce
them. He says some
deployments may be
pushed
back into 2005 because
of the U.S. presidential
elections in November,
which could make
introducing
a new consumer product
more difficult, and
because merchants
are hesitant to introduce
new technology as
the Christmas season
approaches.
"But,"
he tells Card Technology,
"we're talking
about big numbers"
when the deployments
begin. Kranzley also
says there are commitments
to test PayPass
this year in three
markets outside of
the
United States.
MasterCard is a member of ACT Canada; please
visit their web site at http://www.mastercard.com.
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4. ACI WORLDWIDE WINS THE 2004 BANKER TECHNOLOGY
AWARD FOR SMART CARD SERVICES
Source: ICMA Daily News (06/01) |
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ACI Worldwide announced it has been awarded
the 2004 technology award for smart card
services provider of the year by The Banker
magazine. ACI won the award for its ACI Smart
Chip Manager(TM) software, a smart card management
solution that encourages the rapid uptake
of intelligent chip cards. ACI Proactive
Risk Manager(TM), a fraud detection solution,
was also highly commended in The Banker awards'
fraud prevention category.
Over 20 banks and
processors have licensed
ACI Smart Chip Manager
to issue chip cards
and manage the life
cycle of their cards
and associated applications.
The software
also enables issuing
banks and third-party
processors to personalise
any type of chip
card, update application
parameters post-issuance
(including EMV risk
parameters) and post
issue new applications
to multiple-application
card schemes.
Smart Chip Manager
is used in the rollout
of smart ID cards
in Hong Kong, notably
for
the issuance and
lifecycle management
of
cards and applications.
ACI is a key member
of a consortium in
Hong Kong, led by
PCCW
Business eSolutions,
created for the rollout
of smart ID cards
to replace the laminated
paper ID. Library
card services and
digital
certificates are
available today in
Hong
Kong, and driving
license functions
and financial
e-payment facilities
are among other possibilities.
By July 2007, all
6.9 million Hong
Kong citizens
will have been issued
a smart ID card,
which
equates to a daily
issuing rate of 8,000
cards. Smart Chip
Manager manages the
lifecycle
of multiple applications
on these cards and
enables card personalisation
in a distributed
environment. Using
Smart Chip Manager,
the
Hong Kong government
has benefited from
an
efficient and cost
effective process
of rolling
out the national
smart ID card to
its citizens.
ACI Worldwide is a member of ACT Canada;
please visit their web site at http://www.aciworldwide.com.
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5. U.S. TESTS BORDER SMART CARD
Source: Sun Media (Written by Tom Godfrey)
(06/07) |
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The U.S. has begun testing a North American
smart card for transportation workers who
have to go back and forth across the border
as part of their jobs. The biometric, photo-identity
card will be issued to thousands of workers
from both countries after they've passed
a background check.
It will provide workers
of both countries
access to the secure
areas of each others'
seaports, airports,
rail, pipeline, trucking
and mass transit
facilities.
The Transportation
Security Administration
said Canadian truckers
will take part in
a pilot program to
test the card at
northern
border crossings.
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6. MASTERCARD, NAMEPROTECT UNITE TO CLOSE
DOWN PHISHING SITES
Source: Canada Newswire (06/22) |
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Anti-ID theft partnership is first of its
kind in the financial services industry,
will work closely with federal law enforcement
agencies
MasterCard
International
and NameProtect
announced they
are working
together to aggressively
combat illegal
online activities
such as
"phishing"
identity theft
schemes
and the brokering
of illegally
obtained payment
card numbers
in the online
environment.
The partnership
represents
a fundamental
shift in the
way the financial
services industry
is dealing
with the rising
tide of payment
fraud. Rather
than simply
reacting to online
fraud and identity
theft after
it has occurred,
MasterCard
and NameProtect
will take a more
aggressive
approach to
the wave of cyber
scams attacking
online consumers
and companies
today. Under
the partnership,
MasterCard
will leverage
NameProtect's
technology to
detect online
scams in real-time
as they
proliferate
across the
Internet.
Working in
cooperation
with law enforcement,
the partnership
will seek to
dismantle the
online tools
and venues
that are used by
identity thieves
before they
can be used
to steal personal
information
from unsuspecting
consumers and
help ensure
that cyber criminals
are prosecuted
to the fullest
extent of the
law.
"We are
confronting
identity theft head-on
by taking the
fight directly
to where payment
card scams
breed and spread,"
said Sergio
Pinon, senior
vice president,
MasterCard
Global Security
& Risk
Services. "By
identifying
these illegal
card number-swapping
rings and working
to close down
these online
'payment card
black markets,'
as well as
sites that
are established
solely to steal
personal information,
we can squash
illegal
activity before
people's accounts
are compromised."
The first-of-its-kind
partnership
comes at
a time when
identity theft
and other forms
of card fraud
are on the
rise. The Federal
Trade Commission
has reported
that identity
theft has been
the No. 1 consumer
complaint
for four consecutive
years.
Phishing attacks,
which use fraudulent
e-mails
and Web sites
to lure consumers
into divulging
personal financial
information,
also have
increased significantly.
According to
the
most recent
data from the
Anti-Phishing Working
Group, of which
both MasterCard
and NameProtect
are members,
there were
1,125 unique attacks
in April -
a 180 percent
increase over March.
"The MasterCard
initiative
is compelling
in its scope
and reach",
said Mark McLane,
NameProtect
Inc. CEO. "The
financial
services industry
and their customers
are
the subject
of growing
and increasingly sophisticated
attacks online.
This partnership
creates
a platform
to attack the
source of Internet-based
fraud.
"The integration
of the existing
MC
fraud alert
system, leveraging
global law
enforcement,
and the use
of NameProtect technology
takes the commitment
to battle identity
theft
and card fraud
to a new level.
MasterCard's
leadership
in combating
this critical threat
will help to
protect not
only its own customers,
but will help
ensure that
these attacks do
not erode the
consumer confidence
that is
critical to
health of the
Internet as we
know it today."
MasterCard is a member of ACT Canada. For
more information on the above listed companies
please visit their web site at http://www.mastercard.com & http://www.nameprotect.com.
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7. 'SMART' MEDICARE CARD ON THE WAY IN AUSTRALIA
Source: ICMA Daily News (06/24) |
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The Federal Government says the move will
improve health services, by giving doctors
fast access to accurate medical information.
Australian Health Minister Tony Abbott announced
the move, as both sides of politics claimed
credit for the idea. From July Tasmanians
will be invited to register for a Medicare
smart card on an opt in basis.
Initially the new cards will store information
on allergies and adverse drug reactions.
Patients can also choose to include a digital
photo, to help identify them in an emergency
situation. From next year the cards will
be upgraded, to hold information on child
immunisation records and on a patient's status
under the Medicare safety net and the pharamcuetical
benefits scheme. That information could be
accessed at Medicare offices, with a user
name and a password.
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8. COSMOS BANK EXTENDS KEYCORP SMARTCARD
IMPLEMENTATION
Source: Keycorp (06/17) |
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Keycorp Limited announced the extension of
its relationship with Cosmos Bank, Taiwan's
professional banking institution, for the
supply of MULTOS smartcards.
A further 500,000 MULTOS Keycorp smartcards
have been ordered for Cosmos Bank's MasterCard
International (MCI) smartcard rollout, taking
the total past the one million mark. Cosmos
Bank has implemented 800,000 Keycorp MULTOS
smartcards since 2001, making it the first
bank to issue MULTOS based EMV cards in Taiwan.
Keycorp is a member of ACT Canada; please
visit their web site at http://www.keycorp.net.
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9. BAY AREA RAPID TRANSIT DISTRICT (BART)
ADDS ANOTHER APPLICATION
Source: Contactless News (06/22) |
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On-Track Innovations Ltd (OTI), announced
that the San Francisco Bay Area Rapid Transit
District (BART) has extended the use of its
BART OTI smart card for its employee security
access control applications at BART offices
and stations.
With over 300,000 daily riders and 43 stations,
BART provides Bay Area residents with a low
cost, high frequency, fast and environmentally
friendly alternative for their transit needs.
BART uses a graded fare structure where people
pay based on the length of their trip. In
early 2003, BART chose OTI's ISO 14443 compliant
contactless solutions for its San Francisco
International Airport (SFO) station discount
program, whereby BART provides a discount
fare for airline employees who take BART
to work. OTI supplied microprocessor-based
contactless smart cards. Eligible airline
employees received a contactless RFID microprocessor-based
smart identification card encrypted to activate
a discounted fare structure for magnetic
stripe tickets used for fare payment at the
SFO BART Station.
For its access control applications, BART
is currently using the OTI smart card for
access control to BART offices. In the future,
BART plans to replace all existing BART Employee
ID cards with OTI smart cards that will be
used for both identification and access to
BART stations. The scalability of the technology
allowed new applications, like access control,
to be added seamlessly after the card is
issued.
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10. LABCAL'S FINGERPRINT READERS DEPLOYED
IN 14 HOSPITALS ALL OVER MALAYSIA
Source: PRNewswire (06/17) |
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Labcal Technologies Inc. announced it has
been awarded a contract by Kumpulan Perubatan
Johor (KPJ), the Healthcare Division of Johor
Corporation, one of the largest healthcare
groups in South East Asia (SEA), to supply
SmartPrint Sentry(TM) readers (SAC-3000)
to 14 specialist hospitals, located all over
Malaysia.
Labcal's SmartPrint Sentry wall-mounted devices
and SmartPrint Tribunus(TM) software are
being installed and used in KPJ-owned hospitals,
the largest private hospital chain in SEA.
Labcal's solution is being integrated with
the current human resources management system,
provided to KPJ by KaiZenHR Sdn Bhd. Hospitals'
employees ID (smart cards) are verified with
SmartPrint Sentry devices that compare the
individual's fingerprint with the biometric
template stored on the card. Once authenticated,
each employee has to clarify his or her job
status, IN or OUT, using the integrated keypad.
All logs, entries and exits, are saved in
the biometric devices and sent to the KaiZenHR
server in text files. Logs and fingerprint
templates are managed by SmartPrint Tribunus
software.
For more information please visit http://www.labcal.com.
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11. TSA TAPS UNISYS TO EVALUATE ADVANCED
BIOMETRIC TECHNOLOGIES AT 3 AIRPORTS
Source: Unisys (06/16) |
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Unisys Corp. announced that the Transportation
Security Administration (TSA) awarded the
company a contract for three of five airports
under TSA's Registered Traveler Pilot Program.
Registered Traveler permits frequent fliers
to obtain a biometric credential, such as
a fingerprint or iris scan, that enables
them to navigate airport security checkpoints
more efficiently without compromising the
security standards TSA has implemented.
Unisys will use both iris and fingerprint
recognition technologies at three locations
- Minneapolis/St. Paul International Airport,
Los Angeles International Airport and George
Bush Intercontinental Airport in Houston.
The pilot is scheduled to last 90 days at
each airport.
Registered Traveler expands Unisys longstanding
role as a trusted partner of the TSA. It
is the company's second biometric engagement
with TSA in less than a year. In November,
Unisys was awarded TSA's Airline Access Control
Pilot Program under which it is evaluating
biometric technologies that could enhance
security for access to secure locations within
airports.
Unisys is a member of ACT Canada; please
visit their web site at http://www.unisys.com.
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| 12. ADDITIONAL STORIES AVAILABLE IN ACT CANADA
MEMBERS ONLY SECTION |
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These additional stories will now be available
to ACT Canada members via the Members Only
section of our web site. Click on the link
below to access this section. If you are
a member of ACT Canada but do not have your
login details please contact me - andrea(AT)actcda.com.
http://www.actcda.com/members-only/news.htm
BANK/CREDIT CARD INDUSTRY SEEN ON BRINK OF
MAJOR CHANGES
Source: ICMA Daily News (05/25)
The U.S. bank and credit card industry is
"a super-saturated market," with
daunting challenges for card providers of
all stripes, but innovation could provide
growth opportunities, an industry analyst
said…
JCB TO LAUNCH 'OFFICA WATCH' WITH CASIO;
LATEST CONTACTLESS SOLUTION TRIAL UNDERWAY
Source: JCN Newswire (06/10)
JCB launched a 2 month site trial of its
new wristwatch Offica corporate solution.
The 'Offica Watch', in cooperation with Casio,
contains employee ID, access control and
cashless payment functions…
MCDONALD'S TO ACCEPT EZ-LINK CARD PAYMENTS
ISLANDWIDE
Contactless News: (05/27)
McDonald's restaurants across Singapore will
begin accepting the ez-link contactless card
for payment. This is a major step forward
in the continued migration of ez-link from
its foundation in the transit payment arena
to non-transit venues…
DIGITAL TACHOGRAPH TO BECOME REALITY
Source: ICMA Daily News (06/08)
Digital tachographs are about to become reality.
In future, all newly registered trucks and
buses will be equipped with the devices,
the system for which makes use of plastic
cards that contain microprocessors, known
as smart cards, and corresponding monitors
inside the vehicles…
SMART CARDS WILL GROW IN EUROPEAN ACCESS
CONTROL
Source: CardTechnology Magazine (06/25)
Contactless smart cards will become more
widely used in access control over the next
several years, predicts UK-based IMS Research
in a report that covers Europe, the Middle
East and Africa. Analyst Paul Everett projects
a 26% compound annual growth rate in unit
shipments of smart card readers from 2003
to 2009 and an 18.1% growth rate in revenue…
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| ACT Canada is an international non-profit
association for the advancement of card technologies.
We work on behalf of our members to promote
the awareness, understanding and use of all
advanced card technologies; including optical,
smart, capacitive and emerging technologies.
If you would like to learn more about ACT
Canada membership please visit http://www.actcda.com or contact our office at (905) 426-6360. |
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| Please forward any comments, suggestions,
questions or articles to andrea(AT)actcda.com.
If you would like to be removed from our
newsletter distribution list please reply
to this email with the word "REMOVE"
in the subject field. Please note that articles
contained in this newsletter have been edited
for length, and are for information purposes
only. |
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Andrea McMullen
AVP
ACT Canada
tel: 905 426-6360 ext. 24
fax: 905 619-3275
email: andrea(AT)actcda.com
web: www.actcda.com
mail: 85 Mullen Drive, Ajax, ON, L1T 2B3 |
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